if a company’s operating cycle is much longer than its average payment period for suppliers, it creates the need to borrow money to fund its inventories and accounts receivable.
a. true
b. false

Question

08-12-2022
Business

contestada

if a company’s operating cycle is much longer than its average payment period for suppliers, it creates the need to borrow money to fund its inventories and accounts receivable.
a. true
b. false

Respuesta :

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okpalawalter8 okpalawalter8 · Answer 1 · 2022-12-12T19:41:57+01:00

"If a company’s operating cycle is much longer than its average payment period for suppliers, it creates the need to borrow money to fund its inventories and accounts receivable." is False Option B

What is the operating cycle?

Generally, The amount of time it takes for a business to acquire things, sell those items, and then earn income from the sale of those goods is referred to as an operational cycle.

To put it another way, it refers to the amount of time it takes for a corporation to convert its inventory into cash.

The duration of a cycle of operations varies considerably from industry to industry.

if a company’s operating cycle is much longer than its average payment period for suppliers, it creates the need to borrow money to fund its inventories and accounts receivable. a. true b. false

Respuesta :

What is the operating cycle?

Otras preguntas

if a company’s operating cycle is much longer than its average payment period for suppliers, it creates the need to borrow money to fund its inventories and accounts receivable.
a. true
b. false